Malaysian palm oil futures slid around 3% to below MYR 4,630 per tonne on Wednesday, marking a third straight decline and the lowest level in almost two weeks. The slump followed a sharp fall in crude oil prices, which dampened risk appetite after U.S. President Donald Trump announced a two-week ceasefire in the Iran conflict, reducing palm’s appeal as a biofuel feedstock.
Caution also grew ahead of key data from the Malaysian Palm Oil Board later this week, alongside China’s March inflation figures, a gauge of demand from the top consumer. Demand worries added pressure, with imports in top buyer India down 19% in March to a three-month low as high prices curbed buying. Still, losses were capped by supply-side support, as a Reuters survey pointed to Malaysia’s steepest inventory draw in three years. Meantime, Indonesia, the world’s largest producer, reported strong February exports ahead of its B50 rollout in July, while Thailand reportedly has tightened crude palm oil export controls
